We already knew the FY 2026 budget request would bring quite a few big developments, including dramatic program cancellations, particularly on the Army’s side. We had already been extensively briefed about the APACHE situation and the removal of Air Cavalry Squadrons, for example, and we knew about the M10 BOOKER termination. There are however several more developments worthy of note.

Under the Budget request, the USAF is once again trying to accelerate the A-10 withdrawal from service. If Congress will allow it, the entire remaining fleet of 162 aircraft will be withdrawn in FY 2026, at least a couple of years earlier than planned.

The USAF is also still requesting permission to withdraw 21 F-315E, something that is likely to encounter a no from Congress with funding included in the Reconciliation bill specifically to protect the STRIKE EAGLE fleet from reductions. 62 F-16 between C and D models are also going, while the Air Force appears to have accepted the political direction not to attempt to withdraw the oldest, Bock 20 F-22s.

The USAF is only requesting 24 F-35A, half the “usual” request of 48 that has been the norm in the last few lots, shifting more money to the procurement of spare parts and to the Block IV upgrade. In practice, however, most of the money “saved” is used to order an extra 21 F-15EX, a move justified because it “preserves industrial base capabilities” and “leverages the F-15EX’s long range capabilities and large payload”, which make it a good “bomb truck” to complement stealth fighters.

One matter where controversy is to be expected is the E-7 WEDGETAIL procurement. The USAF request of circa 200 million is targeted at early termination of the project, with the procurement of 4 extra Navy E-2D HAWKEYE as (very partial) stopgap on the way to space-based moving air target tracking capability, but Congress is likely to oppose this move.

The budget request includes the first 14 of the new T-7A RED HAWK advanced trainers, and gives a huge funding boost to B-21.

Another notable development is the first formal procurement for the weapon system denominated WGU-59BB FALCO (Fixed-wing Air Launched COunter-UAS). This is an APKWS II laser guidance kit and rocket with M151 HE Point Detonating mated to a proximity fuze giving the rocket better air to air performance. 340 are ordered, building on what already seen flying in CENTCOM’s area of responsibility.

The USAF is also bringing back the AGM-183A ARRW hypersonic missile, which had completed development but was not to proceed into production. 387 million are being assigned to the program, but procurement quantities are classified.

The HACM hypersonic cruise missile carries on as main effort, with FY2026 funding going towards integration on F-15E and F/A-18F, with initial flight tests due going towards 2027.

The FY2026 also includes, for the first time in the open, orders for the AIM-260 JATM air to air missile, which gets just short of 369 million from the USAF and 301 from the US Navy. Quantities and unitary price remain classified but it is specified that the program is not in fact a new start: a couple of years of orders have already happened in secret.

A “family of affordable mass missile” appears, with 3010 weapons to be acquired in one go with 656 million in funding via Reconciliation Bill.

For the US Navy, one most notable absence is the CONSTELLATION-class frigate, which gets, apparently, no funding allocation at all. It is understood this is still one of the “un-finalized” areas of the budget, but it sends a grim signal for this embattled program. 

Most of the shipbuilding plan depends on Reconciliation funding, an approach that has attracted sharp criticism from both sides of Congress. Overall, 2 VIRGINIA-class SSN, 2 DDG-51, 1 LPD Flight II, 1 AMERICA-class LHA, 2 TAO oilers and 1 TAGOS SURTASS Surveillance vessels are to be procured, along with a record bundle order of 9 of the new “Medium Landing Ships”, with 1,96 billion in Reconciliation funding.

9 LCU 1700 landing craft, 1 Ship to Shore Connector and 1 LCAC Life Extension are also included.

The first 3 MQ-25 STINGRAY uncrewed tankers for use on the aircraft carriers are to be procured, for 459 million. F-35 numbers are a bit lower than usual: 12 C and 11 B.

As mentioned previously, 4 E-2D HAWKEYE are added in, up from zero in 2025.

A very interesting development sees the Navy acquire, for the first time ever, 12 PATRIOT PAC-3 MSE missiles, using 47 million of reconciliation funding. The integration of PAC-3 into MK41 VLS has been proposed for some time as a way to give the Navy a cheaper anti-missile interceptor to complement the STANDARD line of missiles.

The USMC takes a hit in the number of JLTV to be procured, partially due to the impact on costs of the abrupt decision of the US Army to curtail its own acquisition.

NMESIS missile batteries procurement carries on with 32 new launchers, but the Long Range Strike (LRF) capability also based on the uncrewed JLTV base but armed with a single canister for TOMAHAWK missiles is cancelled. The first vehicles delivered in this configuration has been assessed as too restricted in mobility terms. All Block V TOMAHAWK missiles ordered so far will be handed to the US Navy (some 38 rounds) while the Block Va (anti-ship capable) will be handed to the US Army’s Mid Range Capability batteries (some 18 weapons).

91 ACR 8x8 are procured, including 59 with turret and 30 mm gun and 32 in Recovery configuration.

For the US Army, we have to report the termination of new buys of STRYKER Double V Hull A1 (DVHA1) vehicles, including the cancellation of the FY 2025 order for 38, which will go down to zero.

Funding will support the continuing roll out of the vehicles produced so far to complete the conversion of 5 Brigades to DVHA1 equipment. 4 brigades in total also receive the 30 mm gun retrofit to part of the STRYKER ICVs.

JLTV is abruptly terminated, with just 45,8 million requested to support fielding of existing vehicles and program transition to USMC guidance. This remains a pretty surprising move which makes the Army highly dependent on the unprotected ISV for a much wider range of roles.

ISV procurement jumps from 90 ISV in Troop Carrier configuration (9 seats) and 6 Utility (4 seats plus cargo bed) to 1275.

The M10 BOOKER gets some 64,9 million for program closure, with inactivation of all BOOKER battalions (one was in the process of forming) and cancellation of the FY 2025 order for 32. That still leaves 84 vehicles from earlier orders to dispose of.

The Army gets funding for 30 M1A2SepV3 and also for the first 4 M1E3 new generation of ABRAMS.

AMPV, which was rumoured to be in line for cuts, actually requests 86 vehicles, more than last year.

A major boost goes to Air Defence, with 62 launchers requested for the Indirect Fire Protection Capability Increment 2 batteries, along with 432 AIM-9X missiles (148 from the Base budget, the others with reconciliation funding).

In a major signal to industry and allies, the long term acquisition objective for Patriot PAC-3 MSE jumps from 3376 to 13,773.

Precision Strike Missile (PrSM) sees a reduced buy from Base funding of just 45 missiles, 10 of which are, for the first time, Increment 2 weapons with seeker for anti-ship capability. Another 107 Inc 1 missiles come via Reconciliation.

A couple of very interesting developments emerge from Research funding: there are now going to be 2 different formats of Common Autonomous Multi-Domain Launcher (CAML), the “uncrewed HIMARS”. A 15-ton platform, the CAML Heavy, is to be developed and to demonstrate its ability to launch not only GMLRS Family of Munitions but also TOMAHAWK and PAC-3 MSE.

CAML Medium, on a 7,5 tons platform, is to fire GMLRS family of munitions and Indirect Fire Protection Capability interceptors (AIM-9X and the future Interceptor). Prototypes are due within 24 months, with an Autonomous Resupply Vehicle for CAML Medium support also to be developed and demonstrated, over the next 36 months.

The other interesting development is BLACKBEARD, an HIMARS-compatible hypersonic weapon which is to undergo the first in-flight demonstrations in FY2026. BLACKBEARD, fired out of a modified GMLRS Pod, is to “deliver circa 80% of the capability planned for PrSM Increment 4 at a substantially reduced cost”.

Prototype live fire is expected in 2027, fielding in 2028. The CAML will eventually become its main launcher.

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